factual

What is the Initial Franchise Fee for a single Batteries Plus Bulbs store?

Batteries_Plus_Bulbs Franchise · 2025 FDD

Answer from 2025 FDD Document

5**

INITIAL FEES

We offer an individual unit franchise and territory development rights under a multiple unit franchise. The "Initial Franchise Fee" for an individual unit franchise is $44,500 for each Store. The Initial Franchise Fee is due when you sign the Franchise Agreement and is not refundable under any circumstances.

If you sign a Multiple Unit Franchise Agreement, the "Multiple Unit Territory Fee" is $15,000 for each Store you agree to establish under the "Development Schedule" described in the Multiple Unit Franchise Agreement. The Multiple Unit Territory Fee that you pay for each Store will be credited against the applicable Initial Franchise Fee for that Store. The Multiple Unit Territory Fee and the Initial Franchise Fee must be paid in certified funds or by wire transfer and are not refundable under any circumstances. Under the Multiple Unit Franchise Agreement, the Initial Franchise Fee for the first Store is $44,500, the Initial Franchise Fee for the second Store is $39,500, the Initial Franchise Fee for the third Store is $34,500, and the Initial Franchise Fee for the fourth and subsequent Store is $29,500. The Multiple Unit Territory Fee and the Initial Franchise Fee for the first Store is due when you sign the Multiple Unit Franchise Agreement. The balance of the Initial Franchise Fee for each of the second and subsequent Stores will be due when you deliver the complete site report for each Store or 12 months before you must open that Store under the Development Schedule, whichever occurred first. Below is a summary of the fees due to us under a single Store Franchise Agreement or 2 to 4 Stores under a Multiple Unit Franchise Agreement:

| | Single Store | Two Store Program | Three Store Program | Four Store Program | |---|---|---|---|---| | Initial Franchise Fee –Store 1 | $44,500 | $44,500 | $44,500 | $44,500 | | | Single | Two Store | Three Store | Four Store | | | Store | Program | Program | Program | |---|---|---|---|---| | Initial Franchise Fee –Store 2 | NA | $39,500 | $39,500 | $39,500 | | Initial Franchise Fee –Store 3 | NA | NA | $34,500 | $34,500 | | Initial Franchise Fee –Store 4 | NA | NA | NA | $29,500 | | Multiple Unit Territory Fee Credit | NA | $15,000 | $30,000 | $45,000 | | (Towards Future Initial Franchise Fees) | | | | | | Due at Signing of the Initial Franchise | $44,500 | $59,500 | $74,500 | $89,500 | | Agreement (and Multiple Unit Franchise | | | | | | Agreement, if Applicable) | | | | | | Balance Due (Per Store) at the Earlier of: (a) Delivery of Completed Site Report; or (b) 12 Months Before you Must Open the Store | NA | $24,500 | $24,500 for 2nd store $19,900 for 3rd store | $24,500 for 2nd store $19,900 for 3rd store $14,500 for 4thStore | We currently offer a $10,000 discount off the Initial Franchise Fee for the first Store to qualifying veterans who were honorably discharged, active and retired firefighters, police officers, EMT/paramedics, nurses, and teachers.

We also offer existing franchisees who have been operating a Store for a minimum of 36 months, and who are in good standing under their Franchise Agreement(s), the opportunity to enter into a Franchise Agreement for one additional Store during the initial term of their first Franchise Agreement for a discounted Initial Franchise Fee of $15,000; provided that they open the Store within 12 months following the date of the Franchise Agreement. A franchisee that pays a discounted fee under these circumstances would not be eligible for an extension of their opening date.

In addition to the Initial Franchise Fee, you will pay us a "Retail Management System" access and development fee that includes access to the designated software, and licenses for the store web security software, network Retail Management System connectivity fee, and anti-virus software protection.

Source: Item 5 — Initial Fees (FDD pages 16–18)

What This Means (2025 FDD)

According to Batteries Plus Bulbs's 2025 Franchise Disclosure Document, the Initial Franchise Fee for a single store is $44,500. This fee is due when the Franchise Agreement is signed and is non-refundable under any circumstances. This is a fairly standard initial franchise fee compared to other franchise systems.

Batteries Plus Bulbs also offers discounts on the Initial Franchise Fee to qualifying veterans, active and retired firefighters, police officers, EMT/paramedics, nurses, and teachers. These individuals may be eligible for a $10,000 discount off the Initial Franchise Fee for their first store. Existing franchisees who have been operating a store for at least 36 months and are in good standing may also be eligible for a discounted Initial Franchise Fee of $15,000 for an additional store, provided they open the store within 12 months of signing the Franchise Agreement.

In addition to the Initial Franchise Fee, new franchisees must also pay a "Retail Management System" access and development fee of $38,968, as well as a $10,000 fee for access to the "Omni-Channel Program." These additional fees are non-refundable and must be paid on or before the date the store opens for business. Franchisees should be aware of these additional costs when budgeting for their initial investment. Batteries Plus Bulbs also requires a non-refundable New Store Marketing Campaign contribution of up to $6,000.

It is important to note that the Initial Franchise Fee only grants the franchisee the right to operate under the Batteries Plus Bulbs brand and system. It does not cover other startup costs such as real estate, construction, inventory, or working capital. Prospective franchisees should carefully review Item 7 of the FDD, which provides a detailed breakdown of the estimated initial investment required to open a Batteries Plus Bulbs store.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.